Question

Play Time Distributing buys backyard swing sets for $155 and marks them up 90% to determine the selling price. Suppose Mrs. Vance buys a swing set and tips the installers 18% of the selling price. What is the total amount that she pays to the nearest cent?

Answer 1

The total amount Mrs. Vance pays for the swing set, including a 90% mark-up on the cost price and an 18% tip on the selling price, is $347.49 to the nearest cent.

Step-by-step explanation:

To calculate the total amount Mrs. Vance pays, including the mark-up and the tip, we first find the selling price by marking up the cost price of $155 by 90% and then find the tip amount by calculating 18% of the selling price. The steps are as follows:

1. Calculate the mark-up by converting the percentage to a decimal: 90% = 0.90.
2. Multiplying the cost price by the markup rate: $155 × 0.90 = $139.50.
3. Add the markup to the cost price to find the selling price: $155 + $139.50 = $294.50.
4. Convert the tip percentage to a decimal: 18% = 0.18.
5. Calculate the tip amount by multiplying the selling price by the tip rate: $294.50 × 0.18 = $52.99 (rounded to the nearest cent).
6. Add the tip to the selling price to find the total amount paid: $294.50 + $52.99 = $347.49.

Therefore, Mrs. Vance pays a total amount of $347.49 to the nearest cent, including the cost of the swing set and the installers' tip.

Answer 2

I think that the answer is $500